A 140-unit new-construction, CHDO HOME, mixed-income development for families is located in Lake Dallas, Denton County, Texas. Resident incomes range from 30% of AMFI to 50% of AMFI for the 20% of the units that are affordable A majority of the development units, 80%, are leased at market rates without income restrictions. RISE Residential or their affiliate is the GP and owner of the development partnership along with a CHDO Not for Profit, Housing Services, Inc.
Construction and permanent financing for this development was provided by an FHA insured HUD 221(d)(4) program loan in the amount of $14MM. The permanent mortgage at stabilization is 4.3% per annum fixed for 40 years, with a 40-year amortization in the amount of $14.0MM. The contractor broke ground on the project in June 2014. Completion: August 2015. The property achieved 100% occupancy in May 2016. The HOME award was $3.05MM. The construction contract is $12.5MM. Final HUD endorsement was granted in May 2016. The HUD financing was modified to take advantage of the low interest rates and generates another $75K annually. The property was sold to Wolfe Interests for $20MM.